Avoiding Costly Mistakes — Accounting Tips for Small Businesses in Cyprus

Running a small business is exciting—but mistakes in accounting can cost dearly. Here are the most common pitfalls we see, and how to avoid them:

The Top Mistakes:

• ❌ Failing to Track Expenses Properly – leading to inaccurate reporting.

• ❌ Not Reconciling Accounts Regularly – small errors add up quickly.

• ❌ Ignoring Tax Obligations – risking penalties and interest.

• ❌ Incorrect Categorisation – expenses recorded wrongly distort financials.

• ❌ Poor Cash Flow Planning – running out of liquidity despite being “profitable.”

• ❌ Neglecting Receivables/Payables – forgotten invoices = lost income.

• ❌ No Documented Policies – inconsistency in accounting practices.

• ❌ Not Seeking Help – missing the value of professional guidance.

Pro Tips for Success:

• Keep real-time expense records.

• Schedule monthly reconciliations.

• Forecast your cash flow at least quarterly.

• Use accounting software but validate categories.

• Consult with a trusted advisor early, not after problems arise.

At Alexandrou Corporate Services, we support small businesses with tailored accounting solutions—helping you avoid pitfalls and focus on growth.